Roll-out Partnership with PEER 1

Southampton, UK — June 25, 2009 — PEER 1 Network Enterprises, Inc. (TSX:PIX), a global online IT business hosting provider, has today launched its CloudXcelerator(TM) program at Structure 09 in San Francisco. The program will enable selected PEER 1 partners to hothouse innovative cloud applications on PEER 1’s IT hosting infrastructure.

UK-based ElasticHosts is the first partner to join the EMEA CloudXcelerator program, enabling it to speed up roll-out of its cloud infrastructure products, which provide ultimately flexible server capacity in the UK for scalable web hosting and on-demand burst computing. ElasticHosts’ new capacity with PEER 1 will make the company the first cloud infrastructure provider to offer dual redundant availability zones in Europe.

“Being fast to scale and demonstrating reliability and security at competitive prices are mission-critical to our cloud computing proposition,” said Richard Davies, founder and CEO at ElasticHosts. “Partnering with PEER 1 through its CloudXcelerator program will give us rapid access to managed hardware and network to help us realise our growth plans and stay ahead of the market. PEER 1 is one of the most progressive hosting providers we’ve come across, and we’re excited about the opportunity to exploit their strengths to deliver even more of our own.”

The CloudXcelerator program allows qualifying partners to develop, test and run cloud applications on PEER 1’s high performance 10GB SuperNetwork(TM) infrastructure, helping them to bring cloud innovations to fruition faster, more reliably and more cost-effectively. Program partners also receive added benefits through discounted hosting, discounted storage, co-marketing funds, publicity and lead generation and exposure on PEER 1’s website and to its 3,000 customers across EMEA.

“Innovation is right at the heart of PEER 1. We know what it takes to deliver innovative services and what businesses need to allow their vision to become reality,” said Dominic Monkhouse, UK MD at PEER 1. “Cloud technology and cloud-based IT service providers are a hotbed of innovation in the industry right now and we are in a unique position to apply the strength of our SuperNetwork(TM) and global infrastructure to maximising their development. The CloudXcelerator program offers a win-win for CloudXcelerator program partners, like ElasticHosts. They get the comfort and reliability of a robust, global infrastructure and PEER 1 succeeds through helping our partners to focus on their customers and bring the latest cloud innovations to market.”

Dominic Monkhouse, will introduce a panel discussion on `the use of commodity hardware within the cloud’ at Structure 09, in San Francisco at 10:15am PST. The panel features Abraham Sultan, VP of engineering at Apprenda, North American CloudXcelerator Program partner and creators of SaaSGrid, a powerful Cloud Application Server for rapidly building and commercialising Software as a Service (SaaS) applications, alongside Robert Miggins, VP of business development at PEER 1 with Bernard Golden of CIO magazine as moderator. For further information or to apply for the PEER 1 CloudXcelerator program, visit www.peer1hosting.co.uk/hosting/cloud-servers.

About ElasticHosts

ElasticHosts is the second European cloud infrastructure provider and the world’s first public cloud based upon KVM, the native Linux virtualization platform. The company provides flexible server capacity in the UK for scalable web hosting and on-demand burst computing such as batch processing, dev/test, disaster recovery and cloud bursting. ElasticHosts offers competitive pricing for both subscription and burst use, fast direct links to the UK/EU internet, data storage within EU jurisdiction, dual redundant availability zones and outstanding performance for any PC operating system with fully flexible sizing. For more information, visit www.elastichosts.com or e-mail sales@elastichosts.com.

About PEER 1

PEER 1 believes in the limitless opportunity of the Internet, and the business growth potential it provides for its more than 10,000 customers. As a global online IT hosting provider, PEER 1 offers a reliable high performance Internet network supporting scalable managed hosting, dedicated hosting through the ServerBeach brand, and colocation solutions. Backed by its 100 percent uptime guarantee and 24x7x365 FirstCall Support(TM), PEER 1 ensures customers’ online presence is always fast, always available. Since 1999, PEER 1 has grown to include 16 state-of-the-art data centres and points-of-presence throughout North America and Europe. The company’s headquarters are in Vancouver, Canada, with European operations headquartered in Southampton, UK. PEER 1 shares are traded on the TSX under the symbol PIX. For more information visit: www.peer1.com or www.peer1hosting.co.uk.